Golden Chicken

To solve the different scenarios for the flourishing Chicken Company we mustiness under sales booth first what is the underway hit and operations of the company, and to sate this we tax the structure of the unused profits that is as follows: realise=Revenue-Cost Revenues: The current flow of revenues derives from the sell of bollock to the wholesalers Existing plight is Q= molarity units/day, and the current set is $6/case From this we moderate the next revenue: Revenue(R)=Price(P) * Quantity(Q) R=$6*1,000= $6,000.00 Costs: The be that Golden chicken company has are related to dit and unsanded stuff and nonsenses. Raw materials: the appeal per case up to 1,000 is $3.00 and as this point, want is fixed, we will not incur in additional costs to bring eggs from outside suppliers. RMc= 1000 * $3.00 = $3,000.00 revelation: An apprehension with a transportation company allows us to distribute our products, we understructure tra nsport up to 50 cases per motortruck at a cost of $50.00 per route. To transport the 1,000 eggs that we squander as current engage we will require 1,000 units/ 50 units/truck = 20 trucks Trc= 20 * $50.00 = $1,000.00 We reach the total cost by adding the Raw material and transportation cost and we obtain: TC= $3,000.00 + $1,000.00 = $4,000.

00 Profit: The initial profit is: P=R-C = $6,000.00 - $4,000.00 = $2,000.00 drive A The wholesale price of a case of eggs increase to $6.60 To evaluate this scenario we have the current profit to evaluate the new break even point, and the profit to compare is: P1= $2,000.00 For this sc! enario we stand a decrease in the demand as the price increases by 10%, therefore we would expect no assume to buy additional eggs. Therefore we bet the new bar to be sold to obtain P1 P1= (Price*Quantity) - Transport cost new raw material cost new $2,000 .00 = $6.6 * Qn (Qn/50)*$50 Qn*$3.00 $2,000.00 = $6.6Qn Qn - $3 Qn $2,000.00 = $2.6 Qn Qn = 770.00...If you want to get a full essay, coif it on our website: BestEssayCheap.com

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